My father is considering returning a motorhome to the bank that finances it due to the recent death of my mother and the total loss of her income, which afforded them this motorhome. He lives solely on his 800.00 a month Social security income and has NO other income. He cannot afford the 339.00 monthly payment to the bank. If he defaults on this loan can the bank seize his social security funds which are automatically deposited into his checking account each month? At his age he is not concerned about his credit as he does not plan on it coming into play with what short time he may have left to live. It is so sad that he is in this position as mothers sudden death has made him almost penniless. Thanks so social security he received a whopping 250.00 death benefit from her death and nothing else as they said he is not entitled to her social security because he is also drawing his which was slightly more than hers. Do I need to have him have a paper check mailed to him to protect his only income from being taken?

This could be a tricky situation. If your father's bank account is with the same bank that he owes money to then the account holder agreement he has may allow the bank to take funds from his account to satisfy any other deliquent accounts with the bank.

If your father's bank account is with a different bank than the one he owes money to then the only way the creditor bank could attempt to take money from his bank is account is to sue, obtain a judgment then issue a garnishment. In such circumstances, and depending upon the particular rules of your jurisdiction, social security monies should be exempt from garnishment even when they are sitting in a bank account.

Whether such an exemption would apply in the first scenario we cannot say.

Mail this notice you the bank where your father has a account and every bank that he has. Send it Certified MAil with return receipt. THis will put the bank on notice that his account are exempt since it direct depoist of SSI

For your information about Social Security Benefits


Safe from Garnishment



Federal law makes Social Security benefits exempt from levy, garnishment, and assignment- 42 USC 407(a) states. "In general the right of any future payments under this sub chapter SHALL NOT be Transferable or assignable. AND NONE of the moneys paid or payable or rights existing under this subchapter shall be subject to execution, levey, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law".

This means that even if a creditor or debt attorney, collection agency has a judgement against you they CAN NOT garnish your SS payments nor can they take the money from you after it has been paid to you; for example, the portion of your bank account that is attributable to your SS benefits is EXEMPT from LEVY OR ATTACHMENT